$1 billion of NVIDIA AI chips were reportedly sold in China despite US bans
The article reports that despite US export controls, $1 billion worth of NVIDIA's top-tier AI chips, including the B200, H100, and H200 models, were smuggled into China in the three months after the Trump administration tightened semiconductor export restrictions. Citing sales contracts, company documents, and people with direct knowledge, the report suggests a thriving black market has emerged, involving third-party data center operators, middlemen, and purportedly smuggled ready-built racks. The demand for these powerful AI chips in China remains high, and some Southeast Asian countries have become hubs for Chinese groups to obtain the restricted products. The US Department of Commerce is considering increasing export controls on advanced AI chips to these countries. NVIDIA denies any evidence of chip diversion, stating that unauthorized products lack the necessary service and support.
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